Last week we expected news in conjuction with a migration of funds out of the EU. To our surprise we saw little movement. This was expected since the EU had to cut it's rate. The rate was cut but nothing moved. This means the summer holidays have been cancelled. JP and a few others have stopped investing in certain EU catagories and are not restricting an investment flight. This causes other problems for the EU and has sparked a new round of gold fervor. The Basal rules will be the next big thing. That should fuel more gold spec. But that's a side point for now. What's happening with the FDI? No early birds? One of the largest investment houses on the planet said they would not invest in 2 catagories of the EU for much the same reason as JP. You have to cut your % to keep your clients from losing money! They knew it was coming and intel from gov't sources said we should brace for the inflow. Still hasn't happened.

Are they waiting for a magic bullet? We think they will begin to migrate this week. It's not possible to wait. We should see an orderly transition led by the smaller investors who use these guys. We don't expect an exodus but we do see a large sum moving on.

On a side note. Elmer must have found something. Not even people at Teck have heard anything yet. There's no chatter and human resources doesn't have a heads up for planning manpower. The huge money ask must be quite a stir in their ranks. There's general excitement but no one knows anything. That tells me they are acquiring be it iron or copper.